Note 12 - Income Taxes

6 Months Ended

Jun. 30, 2017

Notes to Financial Statements

Income Tax Disclosure [Text Block]

12

. Income Taxes

The effective income tax rates for the

six

months ended

June 30, 2017

and

2016

were

36.7%

and

36.2%,

respectively. The increase in the effective income tax rate in

2017

was primarily due to non-recurring discrete tax items.

The Company files U.S. federal, U.S. state, and foreign jurisdiction tax returns that are subject to examination up to the expiration of the statute of limitations. We believe the tax positions taken on our returns would be sustained upon an exam, or where a position is uncertain, adequate reserves have been recorded.

The Company is currently under examination in multiple jurisdictions and is working to address all

matters. While the Company does

not

believe any material taxes or penalties are due, there is a possibility that the ultimate tax outcome of an examination

may

result in differences from what was recorded. Such differences

may

affect the provision for income taxes in the period in which the determination is made, and could impact the company’s financial results.